Daily active BNB addresses and daily transactions have decreased over the past month. The coin is down over 16%, and several metrics were still bearish.
BNB Chain [BNB] adoption has been on the rise with the latest being the Polyhedra Network. In a recent tweet, Polyhedra announced that it will support the BNB Chain Luban upgrade on zkBridge on LayerZero Labs.
Besides, BNB also revealed, via Twitter, that it had successfully implemented the BEP-126 update:
“We are proud to support @BNBChain Luban upgrade on zkBridge and our zk light client on @LayerZero_Labs. Luban upgrade introduces super-fast finality and enhanced security on BNB Chain. We keep building on BNB Chain with the most secure and efficient interoperability using ZKP.”
All about BNB Chain’s BEP-126
BNB Chain’s BEP-126 introduced the Fast Finality feature that increases the security of the Blockchain. Users can ensure they receive accurate information on the last completed block thanks to the quick completion feature.
BEP-126 May Significantly Benefit BNB Chain
A look at the Artemis data revealed that the use of BNB Chain has been on a downward trend. This was evident by the drop in its daily transactions, which have plummeted in the last 30 days. Not only that, but after the May 17 rally, BNB’s daily active addresses followed suit as well.
However, now that the new feature has increased the security of the Blockchain, a turnaround can be expected. This seemed likely, as security plays an important role in attracting and retaining users on a Blockchain.
BNB Under Selling Pressure
While BNB Chain users received good news, BNB investors were still struggling. According to CoinMarketCap, BNB is down more than 16% in the past seven days. At the moment, it was trading at $233.89, with a market capitalization of more than $36 billion.
Lookonchain’s tweet revealed that a whale that has been dormant for two years sold 10,000 BNB worth $2.3 million at $230. This suggested that the coin was under selling pressure, raising the chances of a continued downtrend:
“1/ A whale that has been dormant for 2 years sold 10,000 $BNB ($2.3 M) at $230 today. This whale was a #SAFEMOON whale before and made 110K $BNB ($47.5M at that time) with only 10 $BNB ($2,400 at that time) on #SAFEMOON.”
It was interesting to note that the whale transaction count spiked around the time of the BNB price crash and on June 12, when it showed something of a recovery.
Will BNB Rebound Soon?
The possibility of a northerly price move seemed unlikely at press time as several metrics looked bearish. For example, BNB’s MVRV ratio dropped substantially.
That, coupled with the high 1-week price volatility, suggested that the coin price could see further declines in the coming days. The Santiment chart suggested that negative sentiment around BNB was dominant in the market, as evidenced by the drop in its weighted sentiment.
By Audy Castaneda
